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Daniel C. Sneider
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Despite chatter about "the Chinese threat" during Chinese President Hu Jintao's recent visit to Washington, neither China nor the United States seeks to confront the issues plaguing their complex relationship. Pantech fellow and San Jose Mercury News foreign affairs columnist Daniel Sneider considers the muscular side of "China's peaceful rise."

The visit of China's President Hu Jintao to the United States this week is yet another opportunity for chatter about the "Chinese threat.'' In the lead-up to his arrival, we have heard rising voices from Congress and from the administration on everything from China's currency manipulation and piracy of intellectual property to its military buildup.

Do not be deceived. There is no real appetite in either Washington or Beijing for confrontation over any of these issues, much less a serious exploration of the challenge that China presents to American global leadership.

Neither government can afford an escalation of tensions. Economically, we are too intertwined. Strip away the packaging on the $200 billion trade deficit with China and you will find American companies running global assembly lines that begin in Ohio, pass through Malaysia, and end up in southern China.

Strategically, the United States is painfully dependent on China to try to cope with the greatest security challenge in northeast Asia: North Korea's nuclear program.

Beijing is wedded to its doctrine of "China's peaceful rise.'' First formulated three years ago, it aims to keep things calm with the United States and most of its neighbors, buying time to manage the tightrope act of continuing high growth while preserving domestic stability.

In any case, Washington is too bogged down in the Middle East to do more than bark now and then about China.

"At the strategic level, the United States is really focused like a laser on the Middle East,'' and the Chinese like it that way, said Asian security expert Kurt Campbell. "They appreciate the fact that with the U.S. attention focused elsewhere, it allows China to play a larger role in Asia as a whole,'' he told a gathering last week at the Center for Strategic and International Studies in Washington.

Typically, while Washington is focused on Hu's visit, the Chinese defense minister is in the midst of an unprecedented Asian tour that will take him to North and South Korea and to Singapore, Malaysia and Vietnam. China's prime minister has just finished a swing through Australia, New Zealand, Fiji and Cambodia.

In my own travels through Asia recently, from South Korea and Japan in the northeast down to Singapore, Vietnam and Hong Kong in Southeast Asia, I found a stunning growth in China's influence. The question of how to deal with China's rise is high on every agenda.

Everywhere people are looking over their shoulder, worried about China's burgeoning strength and presence. They are equally fearful that the United States is abandoning the field to China. But they also don't want to choose between these two powers.

That is even true in Japan, where the popular media and politicians are full of talk about the Chinese threat. But look a little closer and you will also find a growing counter-movement, particularly in elite policy circles, warning against becoming separated from the rest of Asia. The battle for succession to Prime Minister Junichiro Koizumi, who is stepping down in the fall, is now being shaped around this issue.

The China-Japan rivalry tends to reveal the more muscular side of China's "peaceful rise,'' one that Americans rarely glimpse. In Vietnam, senior foreign policy officials recounted what happened when the Japanese came courting to gain Vietnam's backing for a resolution to give them permanent membership in the U.N. Security Council, a key goal of Japan's foreign policy. Japan is Vietnam's largest aid donor and a major source of foreign investment.

China and Vietnam have a long and stormy history as neighbors, including wars that go back centuries and -- more recently -- a brief invasion in 1979 that ended in defeat for the Chinese. Relations these days are relatively good, however, fed by growing trade, heavily in China's favor.

Hu, in his role as leader of the Chinese Communist Party, sent a special envoy to talk to the leadership of the ruling Vietnamese Communist Party. Sometimes, a Vietnamese official told me, the Chinese can be very indirect. Not this time. The message was simple: "Don't do it!'' The ``or else'' was left unspoken.

The Vietnamese compromised, supporting Japan's membership but refusing to co-sponsor the resolution. China was not pleased, but apparently accepted it.

For the Vietnamese, a senior official explained, they must engage in a "lot of fine balancing.'' Vietnam "can't stop engaging China'' but wants to make sure China becomes a "predictable'' power.

In Washington, when the cloud of rhetoric clears, that formula pretty much sums up the reality of U.S.-China relations, too.

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Commentators across the political spectrum have suggested that a profoundly confrontational clash between western and traditional cultures is taking place. Are modernity & religiosity in fundamental conflict? Are western values - equated with modernity and secularism - incompatible with orthodoxy? Are traditions - based in religion and emphasizing the importance of established practices - antithetical to "progress"? Is the conflict so profound that it has become our new "cold war"? Join our panelists to explore one of the more disturbing challenges facing our world today.

Coit D. Blacker is director, Freeman Spogli Institute for International Studies and Olivier Nomellini Family University Fellow in Undergraduate Education. He also serves as co-chair for Stanford University's International Initiative. Professor Blacker is the author or editor of seven books and monographs, including Hostage to Revolution: Gorbachev and Soviet Security Policy, 1985-91 (1993); Reluctant Warriors: The United States, the Soviet Union and Arms Control (1987); and, with Gloria Duffy, International Arms Control: Issues and Agreements (1984). During the first Clinton administration, Professor Blacker served as Special Assistant to the President for National Security Affairs and Senior Director for Russian, Ukrainian and Eurasian Affairs at the National Security Council. Professor Blacker is a graduate of Occidental College (A.B., Political Science) and the Fletcher School of Law and Diplomacy (M.A., M.A.L.D., Ph.D.).

Amir Eshel is chair and associate professor of German studies and comparative literature, and director of the European Forum at FSI. His research focuses on German culture, comparative literature, and German-Jewish history and culture from the Enlightenment to the present. He is currently working on a book about the poetic figuration of historical narratives, and he is also involved in an interdisciplinary project on urban space in Berlin. At Stanford, he has taught courses on German Jewish literature, literature of the Holocaust, modern German poetry and the contemporary German novel. Before joining the Stanford faculty in 1998 as an assistant professor of German studies, he taught at the Universitaet Hamburg (Germany). He is a member of the American Comparative Literature Association, the Association of Jewish studies, the German Studies Association and the Modern Language Association. In 2002 he received the Award for Distinguished Teaching, from Stanford University's dean of the School of Humanities and Sciences. He received an MA and PhD in German literature, both from the Universitat Hamburg. He speaks Hebrew, German and English, and has a good knowledge of Yiddish and French.

Robert Gregg is the Teresa Hihn Moore Professor in Religious Studies (Emeritus), and serves as Director of the Abbasi Program in Islamic Studies. His scholarship includes a book on philosophies concerning death and grieving in ancient Greek, Roman, and Christian communities; two volumes concerning struggles over orthodoxy and heresy in 4th century Christianity that are focused on the "arch-heretic" Arius and reactions to his teachings; a translation of Athanasius' Greek Life of Saint Antony - the famous account of his activities as one of the first desert monks; and a study of 250 Greek, Hebrew/Aramaic, and Latin inscriptions from the Golan that allow glimpses of interactions between Jews, "pagans," and Christians in the Golan Heights and Syria, 1st-7th centuries CE. Professor Gregg's current research treats several "sacred stories" which appear both in the Bible and in the Qur'an-and examines interpretations of these scripture narratives by Jewish, Christian, and Muslim writers and graphic artists in each of the religions' early centuries.

Paula M. L. Moya is Associate Professor and Vice-Chair of English at Stanford University, where she recently completed a term as Director of the Undergraduate Program of the Center for Comparative Studies in Race and Ethnicity (CCSRE), and Chair of the Comparative Studies in Race and Ethnicity (CSRE) major. Her publications include essays on feminist theory, multicultural pedagogy, and Latina/o and Chicana/o literature and identity. She is the author of Learning from Experience: Minority Identities, Multicultural Struggles (University of California Press, 2002) and coeditor of Reclaiming Identity: Realist Theory and the Predicament of Postmodernism (University of California Press, 2000) and Identity Politics Reconsidered (Palgrave in 2006.) For the past five years, she has been actively involved as a founding organizer and coordinating team member of The Future of Minority Studies research project (FMS), an inter-institutional, interdisciplinary, and multigenerational research project facilitating focused and productive discussions about the democratizing role of minority identity and participation in a multicultural society. For more information, visit www.fmsproject.cornell.edu.

Raena D. Saddler grew up in St. Louis and attended high school at Colorado Academy in Denver. She is currently a Junior double-majoring in Religious Studies (with a focus on Christianity) and Psychology on the "Health and Development" specialization track (focusing both on adolescent development and clinical psychology). She is also minoring in International Relations with a focus on aid to lesser developed countries--Africa in particular. Raena is planning to spend next fall semester in Rome and come back to work on an honors paper for Religious Studies. She enjoys traveling abroad, and spends a few weeks every summer doing aid-work in Mozambique, Africa. Since coming to Stanford, Raena has been volunteering for three years at Menlo Park Presbyterian Church (MPPC) working with junior high and high school girls as a youth leader and small group leader. In addition to that, she is the head coach for the Menlo-Atherton High School JV women's lacrosse team. Outside of coaching she loves to be around kids and babysits for several families in the area. When she isn't going to class, babysitting, or coaching, she spends the rest of her time with her closest friends and boyfriend of two years.She is very passionate about youth leadership and social justice, and hopes to work for an international aid organization in the future.


Jointly sponsored by the Stanford International Initiative and the Undergraduate Admissions Office.

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Matthew Rojansky is a JD candidate at Stanford Law School and a CISAC predoctoral fellow. His research focuses on international law and security, counter-terrorism and counter-proliferation. He is currently conducting a study of UN Security Council legitimacy in the global counter-terrorism context, and developing a theory of network-based attribution for internationally wrongful acts. He has worked for the U.S. Department of Justice's Office of Special Investigations, the National Democratic Institute for International Affairs, the Israel Ministry of Foreign Affairs, and private law firms, where he has worked on international trade and IP litigation.

He received an AB in Soviet history from Harvard University. Next year, he will serve as a clerk for the United States Court of Appeals for the Armed Forces.

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Senator John Edwards offered key findings from the task force on Russia he co-chaired with Jack Kemp before a full audience at FSI on April 26, 2006. The task force report, titled "Russia's Wrong Direction: What the United States Can and Should Do," was sponsored by the Council on Foreign Relations, and examined Russia's dramatic move away from democracy and implications for progress on pressing global issues, such as Iran's nuclear ambitions, terrorism, and global health. The report was drafted by many of America's preeminent Russia scholars and policy practitioners, including Coit D. Blacker, director of FSI, and Michael A. McFaul, director of CDDRL.
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Senator John Edwards | Rod Searcey
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Kent Eaton is Associate Professor at the Naval Postgraduate School in Monterey, California. A political scientist by training, Dr. Eaton is interested in political institutions and comparative political economy. He is the author of Politicians and Economic Reform in New Democracies and Politics beyond the Capital: The Design of Subnational Institutions in South America. Currently Dr. Eaton is conducting research on police reform and on the relationship between decentralization and security in Latin America.

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Kent Eaton Associate Professor Speaker Naval Postgraduate School in Monterey
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David G. Victor
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The Brazilian government is declaring victory in its decades-long struggle to become self-sufficient in the supply of oil. The milestone is cause for celebration in a country that has long paid a high price for imported energy.

The Brazilian government is declaring victory in its decades-long struggle to become self-sufficient in the supply of oil. The milestone is cause for celebration in a country that has long paid a high price for imported energy.

It will also reverberate here in the United States where policy-makers, too, are trying to wean the nation from costly imports, jittery markets and the foreign spigot. But we must learn the right lessons. Brazil's success came not from treating oil as an addiction but by producing even more of the stuff and by becoming even more dependent on world markets

Here in the United States, most attention to Brazil's fuel supply has focused on the country's aggressive program to replace oil with ethanol that is made by fermenting homegrown sugar. American newspapers are filled with stories about Brazil's famous "flex fuel" vehicles that make it easy to switch between ethanol and conventional gasoline.

Guided partly by Brazil's apparent success, American policy-makers are crafting new mandates for ethanol, and flex fuel vehicles are now taking shape. We have the impression that ethanol is king.

In reality, ethanol is a minor player in Brazilian energy supply. It accounts for less than one-tenth of all the country's energy liquids.

The real source of Brazil's self-sufficiency is the country's extraordinary success in producing more oil. After the 1970s oil shocks, when Brazil's fuel import bill soared, the government pushed Petrobras, the state-controlled oil company, to look asunder for new energy sources.

Petrobras delivered, especially at home, where the firm pioneered the technologies that make it possible to extract oil locked in sediments under the seabed in extremely deep water. In the middle 1970s Brazil struggled to produce just 180,000 barrels of oil per day while importing four times that amount. Today it produces about 2 million and is self-sufficient. Indeed, the current milestone of self-sufficiency arrives with the inauguration of Brazil's newest deep water platform, the "P50." When P50 reaches its full output later this year, that one platform will deliver more liquid to Brazil than the country's entire ethanol program.

Brazil's self-sufficiency offers three lessons for U.S. energy policy:

-First is that ethanol, with current technology, will do little to sever our dependence on imported energy. Today's approach involves growing a crop - sugar in Brazil, corn in the United States - and then fermenting the fruits to yield fuel. Sugar plants in Brazil's climate are a lot more efficient at converting sunlight to biomass than is corn in the Midwest, but U.S. policy nonetheless favors corn (and imposes tariffs on imported sugar) because the program is really a scheme to deliver heartland votes rather than a commercially viable fuel.

Yet, even with Brazil's favorable climate and sugar's inviting biology, ethanol is already reaching the limit. That's because the land and other resources devoted to ethanol can be put to other uses such as growing food and cash crops.

Indeed, today the Brazilian government is actually reducing the share of ethanol that must be blended into gasoline because sugar growers prefer to make even more money by selling their product as sugar on the world market rather than fermenting it into alcohol.

New technologies - notably "cellulosic biomass"- could breathe fresh life into ethanol and replace still more oil. Cellulosic biomass is intriguing because it cuts costs by allowing the entire plant - the cellulose in the stalks, as well as the prized grain or sugar - to be fermented into fuel.

Advocates for this technology, including President Bush in his State of the Union address, have wrongly confused the sexy promise of this new-fangled approach to making ethanol with the practical realities of fuel markets. Schemes to produce cellulosic biomass, today, work only under special circumstances and nobody has delivered the fuel at the industrial scale that would be required for the technology to become commercially viable.

-Second, we should learn that, for now, the greatest force to loosen the world's oil markets lies with oil itself. We can use oil more efficiently, as would occur with a gasoline tax or wise fuel economy standards. But we can also find ways to produce more of the stuff - as Brazil did with Petrobras.

The problem for U.S. policy-makers is that the richest veins for new production lie mainly outside the United States and beyond our direct control.

Indeed, the Brazilian government made Petrobras more efficient by putting the firm partly beyond its control as well. When the government sold part of the company on international stock exchanges, it accepted Western accounting procedures and other strictures that have given Petrobras the autonomy and accountability to its shareholders that, in turn, helped make it an efficient company.

We have a stake in seeing other countries do the same - from Algeria to Mexico to Iran and even Russia. But we must remember that Brazil did this on its own, in response to internal pressures for reform, with little leverage from foreign governments.

-Third, we should learn from Brazil not to confuse the goal of greater self-sufficiency with the illusion of independence. Even as Brazil has become self-sufficient it has also, ironically, become more dependent on world markets. That's because the Brazilian government has wisely relaxed price controls so that the prices of fuels within the country are set to the world market. Thus Brazilians see real world prices when they fill up at the pump, and the decisions about which cars to buy and how much to drive reflect real costs and benefits of the fuel they consume. That is why, even as the country becomes self-sufficient, Brazilians are working ever harder to be more frugal with oil - because the price at the pump is high and rising.

Dependence on oil is a liability that must be managed. But it is not an addiction.

Efficiency, sober policies toward modest alternatives such as ethanol, and more production - all tools of the manager, not the addict - are required. Brazil helps show the way, but only if we learn the right lessons.

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Nancy Peluso will discuss how "political forests" originated in colonial-era Indonesia, Malaysia, and Thailand, and how they have been maintained over at least a century and a half of broader political-economic change. She will argue that forests were produced and normalized in Southeast Asia through political categories embedded in the law, scientific and public practice, colonial and post-colonial empires of forestry, and the insurgencies and emergencies of the Cold War era. This required the sometimes violent separation of the components of agrarian environments. From the fact that forests can be shown to be not only biological but also historical and political in nature she will draw important implications for conservation, development, and "green governance."

Nancy Lee Peluso is program director of the Berkeley Workshop in Environmental Politics at UC - Berkeley, where she teaches courses in political ecology and studies forest politics and agrarian change in Southeast Asia. She is the co-editor of Violent Environments (2001) and Borneo in Transition: People, Forests, Conservation and Development (1996) and the author of Rich Forests, Poor People: Resource Control and Resistance in Java (1992) and many journal articles and book chapters. She is presently finishing a book manuscript whose working title is "Ways of Seeing Borneo: Territoriality, Violence, and the Production of Landscape History". She is an associate editor of Global Environmental Politics and the Annals of the Association of American Geographers. Her PhD is from Cornell University.

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Nancy Lee Peluso Professor, Department of Environmental Science, Policy and Management Speaker University of California-Berkeley
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Is the conflict in Iraq a civil war or not? Debate over this question is largely political. James D. Fearon sets aside politics to explain the meaning of civil war and how it applies to Iraq.

Does the conflict in Iraq amount to a civil war? In many ways, the public debate over this question is largely political. Calling Iraq a "civil war" implies yet another failure for the Bush administration and adds force to the question of whether U.S. troops still have a constructive role to play.

Politics aside, however, the definition of civil war is not arbitrary. For some -- and perhaps especially Americans -- the term brings to mind all-out historical conflicts along the lines of the U.S. or Spanish civil wars. According to this notion, there will not be civil war in Iraq until we see mass mobilization of sectarian communities behind more or less conventional armies.

But a more standard definition is common today:

1) Civil war refers to a violent conflict between organized groups within a country that are fighting over control of the government, one side's separatist goals, or some divisive government policy.

By this measure, the war in Iraq has been a civil war not simply since the escalation of internecine killings following the bombing of a Shiite shrine in Samarra in February, but at least since the United States handed over formal control to an interim Iraqi government in June 2004.

Here's why: Although the insurgents target the U.S. military, they are also fighting the Shiite-dominated Iraqi government and killing large numbers of Iraqis. There is little reason to believe that if the United States were suddenly to withdraw its forces, they would not continue their battle to control or shape the government.

Political scientists who study civil war have proposed various refinements to this rough definition to deal with borderline cases. One issue concerns how much killing has to occur -- and at what rate.

2) For a conflict to qualify as a civil war, most academics use the threshold of 1,000 dead, which leads to the inclusion of a good number of low-intensity rural insurgencies.

Current estimates suggest that more than 25,000 Iraqis have been killed in fighting since the U.S.-led invasion in March 2003 -- a level and rate of killing that is comparable to numerous other conflicts that are commonly described as civil wars, such as those in Lebanon (1975-1990) and Sri Lanka (beginning in 1983).

The organization -- or rather, disorganization -- of the warring communities in Iraq means that a large-scale conventional conflict along the lines of the U.S. Civil War is unlikely to develop. More probable is a gradual escalation of the current "dirty war" between neighborhood militias that have loose ties to national political factions and are fighting almost as much within sectarian lines as across them.

This is roughly what happened in Lebanon and at a lower level in Turkish cities in the late 1970s. Ethnic cleansing will occur not as a systematic, centrally directed campaign (as in Bosnia), but as a result of people moving to escape danger.

And there's another twist to the terminology:

3) If the conflict in Iraq becomes purely a matter of violence between Sunni and Shiite communities driven by revenge and hatred rather than by political goals, many political scientists would say that it is something other than civil war.

Almost no one, for example, calls the Hindu-Muslim violence in India a civil war.

A civil war has to involve attempts to grab power at the center of government or in a given region, or to use violence to change some major government policy.

In Iraq's case, however, the vacuum of power at the center means that communal violence will inevitably be tied to struggles for political power and control.

A final complication concerns the nature of international involvement. Some argue, for example, that the war in Bosnia should be seen as an interstate war rather than a civil war, since the Bosnian Serb forces were armed and directed largely by Belgrade. Post-Mobutu violence in Congo is often termed a civil war, even though fighters have been closely tied to armies from neighboring states.

4) A conflict may be both a civil and an interstate war at the same time.

The Vietnam War, for instance, clearly comprised both a civil war in the South and an interstate war involving the North, the South and the United States.

Iraq may be moving in this direction. The United States and Britain are already openly involved, and such neighboring countries as Iran and Syria are more covertly involved. Not that it matters to the people dying there, but the next debate here may turn on whether what is already a civil war in Iraq should be viewed as an interstate war as well.

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SPRIE Fellow Doug Fuller takes issue with a recent Duke University report downplaying concerns about the low number of U.S. science and engineering graduates compared to those produced in China and India. Fuller explains what is behind the numbers and cautions that "it would be a grave mistake to drop our concerns about China's competitive challenge."

A recent report from Duke University that critiques the supposed gap between the number of American science and engineering (S&E) graduates and those of merging economies -- especially China's -- has led to false reassurance that the U.S. lead in science and technology is not under threat from China. It would be a grave mistake to drop our concerns about China's competitive challenge.

First, the Duke report simply claimed that China's true number of science and engineering bachelor degrees was 351,000, rather than the widely reported 600,000. Coupling this with an upward adjustment for American graduates still left China producing 214,000 more such degrees than the United States.

Moreover, undergraduates are only part of the concern. China's production of those with doctorates has increased rapidly. By 2003, China's homegrown science and engineering doctorates numbered almost half of the U.S. total.

Chinese were also earning large numbers of doctorates abroad. In 2001, the number of Chinese S&E doctorates earned in Japan, the United Kingdom and the United States equaled 72 percent of the total of S&E doctorates earned by American citizens and permanent residents.

Since 1975, China has increased its global share of S&E doctorates from zero (courtesy of the Cultural Revolution) to 11 percent, not counting doctorates earned overseas. During the same three decades, the U.S. global share has fallen from half to roughly 22 percent.

More worrisome than the aggregate numbers is American universities' reliance on foreigners who earn doctorates. In engineering, foreigners account for over half of America's doctorates, and in computer science just under half.

If foreign-born holders of doctorates continued to stay in the United States, we wouldn't have to worry. Unfortunately, there are many signs that it is becoming much harder to retain them.

One need only look at the flow from Taiwan, one of the former main sources of American S&E doctoral degrees, to see what could happen. Up until 1994, Taiwanese earned more science and engineering doctorates in the United States than members of any other foreign nationality. By 2000, their numbers had plummeted because economic and educational opportunities at home were more appealing.

The Taiwanese didn't just stop coming to America. They also began to leave. As Taiwan's tech sector boomed in the 1990s, huge numbers of Taiwanese technologists (estimates range as high as 100,000) left America for home and took their technical skills with them.

Our two current biggest foreign sources of technologists, China and India, appear to be following Taiwan's path. China has begun to lure back large numbers of technologists. China's central and local governments offer free office space and other benefits to attract technologists home. These inducements are working. A 2005 survey of the Chinese American Semiconductor Professionals Association's members showed that the vast majority regard China as the most likely future work destination, and they rated Shanghai higher than even Silicon Valley on career potential. India's recruitment efforts have also started to bear fruit.

The challenge is not simply keeping up the numbers of technologists in America. China by many measures has improved its technological capabilities. On the Georgia Institute of Technology's Index of Technological Capability, China has more than doubled its index score over the past decade. China now ranks fourth behind the United States, Japan and Germany.

This rapid ascent is not surprising given China's increasing investments. China's research and development spending as a percentage of gross domestic product has tripled to 1.3 percent in the last decade, even while its GDP has ballooned. Few emerging economies spend even 1 percent of their GDP on research.

U.S. patents invented in China are also on the rise. Information-technology patents from corporations' Chinese technologists have risen from 134 in 1997-2001 to 482 during 2002-04. As a first step to meet this challenge, we should increase federal spending on basic and exploratory research. Our R&D spending has been flat at 2.6 percent of GDP for four decades, but the share of federal spending has declined from two-thirds to one-quarter.

Given that corporations now de-emphasize basic scientific research, the federal government should further support the basic research that could maintain our lead at the cutting edge of technology.

Increased federal funding would also address the issue of the falling share of investment in certain disciplines. With spending flat, the rising share commanded by biomedicine has meant a falling share spent on engineering and physics.

Federal support may also play a direct role in increasing interest in pursuing a science education. Since the 1950s, the number of undergraduate S&E majors in America has risen and fallen in line with federal research funding, as Professor Henry Rowen of Stanford University has pointed out.

Before meeting China's challenge, we first must recognize it. Complacency in reaction to "good'' news that China is producing fewer S&E graduates than commonly thought is not the answer.

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Nadejda M. Victor
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For Victor's detailed analysis, presented at a recent G8 Energy summit, click on the International Conference on Energy and Security event or directly download the presentation below.

Three months ago the Russian energy giant Gazprom forced Ukraine to pay sharply higher prices for natural gas. At the time, the story was portrayed as a political struggle for control in Kiev. But last week Gazprom announced it was tripling gas prices in Belarus, a country that is politically close to the Kremlin. Moldova has been forced to accept a doubling of prices over the next three to four years, and the other former Soviet republics are already paying market prices for Russian gas.

The truth is that these price increases are not political. Rather, they reflect worrisome economic and geological facts about Russian gas fields. The Kremlin is not simply trying to use Gazprom to reassert authority in Belarus, Ukraine or anywhere else. There are in fact deep problems with Gazprom -- problems created by its inefficient management and a looming decline in gas production.

Russia controls over a quarter of the world's gas reserves -- more than any other country. Most of the known Russian reserves (about 80 percent) are in west Siberia and concentrated in a handful of giant and super-giant gas fields. Since the early 1970s the rate of discovery for these new fields has been declining. Moreover, output from the country's mainstay super-giant fields is also steadily falling.

Huge investments are needed to replace this dwindling supply, and all the options for new production will prove costly and difficult. New fields in the far north and east of the country are distant from most of Russia's people and export markets, requiring wholly new transport systems such as pipelines. Moreover, most of these fields are found in extremely harsh environments where it is technically and financially difficult to operate.

Gazprom controls neither the capital nor the technology that will be needed. The state-controlled company is already deeply in debt and burdened by many expensive obligations, such as supplying Russia's population and friends with cheap gas. The company has to work with foreign partners.

So far Gazprom has been able to forestall crisis. Economic stagnation across the former Soviet Union and Eastern Europe since 1990 dampened gas demand. Russia, which had a surplus at the time, sharply increased its gas exports and made contractual commitments that will remain in force for many years.

But following the long stagnation, Russia's internal gas consumption is rising again as the economy expands. And new Russian policies to promote development of the country's eastern regions will, in the next few years, require large new commitments to supply gas to that region (along with spending on railroads, airports and other infrastructure).

Even when the Russian economy was in the doldrums the country was notable as a large gas consumer because of its extremely inefficient energy system. Today Russia is the world's second-largest gas user, after the United States, although its economy is only one-twentieth the size of the U.S. economy.

Electricity in Russia is produced for the most part by gas, but the country's gas-fired electric generators work at 33 percent efficiency on average, compared with 50 to 55 percent in Europe. More than 90 percent of residential and industrial gas consumers don't have meters. Gas is even cheaper than coal -- Russia is the only large country where that is true -- so incentives to switch to an abundant fuel are weak.

In recent years Russia has boosted gas supplies by squeezing Turkmenistan to sell gas to Russia at a deep discount. But Turkmen gas production is poised to decline, and Turkmenistan's gas industry is barely functional because the country's political environment is scary for long-term investors. Other Central Asian suppliers, notably Kazakhstan, are unlikely to be able to bridge the gap.

Caught between growing internal consumption of gas, continued inefficiency and mounting external obligations, Russia's gas industry faces a looming crisis. Given the country's vast resources, it seems that many producers could fill the void. But a series of policy decisions created two roadblocks that Gazprom has been happy to reinforce. One is the lack of access to the Gazprom-controlled pipeline network, which explains why few companies even bother to look for gas: They know they can't get what they find to market. The other barrier to investment is the low internal prices, which make gas production uneconomic except for companies that can sell their products outside.

Gazprom needs cash -- much more cash -- for investment. At the same time, it needs a strong incentive for former Soviet republics to cut their own very inefficient consumption.

Analysts have ignored the risk that Russia's supplies could fall short because they focus on Russia's vast gas resources and the new Western investors who are -- albeit cautiously -- entering into joint ventures with Gazprom. But those resources and ventures are for the long term, and the looming crisis of supply is unfolding now.

The gas shortage is likely to become most acute over the next few years. If there is an unusually cold winter in 2008, the year of Russia's presidential election, then Gazprom will face a politically unpleasant choice: whether to cut off internal customers (voters) or the Western customers who are the firm's main source of hard cash.

The writer is a research fellow at the Program on Energy and Sustainable Development at Stanford University. She is co-author of "Axis of Oil" and of a forthcoming comprehensive review of Russia's gas pipelines.

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